Initial jobless claims unexpectedly spike to the highest in 14 months

Initial jobless claims jumped much more than expected last
week, by 20,000 to 294,000.

That's the highest level for claims since the week of
February 28, 2015.

Economists had forecast that first-time filings for jobless
claims totaled 270,000, according to Bloomberg.

The four-week moving average of claims, which evens out the
weekly volatility, jumped by 10,250 to 268,250, around where
it was mid-February.

Overall, the spike is no reason to be alarmed about the labor
market. Initial claims have not crossed the 300,000 mark for
62 straight weeks.

"The numbers in April were probably a little low given the
conditions in the labor market," Gus Faucher, PNC deputy chief
economist, told Business Insider.

PNC forecasts that average monthly job growth of 180,000 this
year should allow for labor-market slack to continue being
absorbed before the economy reaches full employment in the second
half of the year.